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Home My WebLink About2009-02-24 City Council Agenda Item No 7CITY OF LADE 0 LSIfiOIUE DREAM EXTREME- REPORT TO CITY COUNCIL TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: ROBERT A. BRADY CITY MANAGER DATE: FEBRUARY 24, 2009 SUBJECT: REALLOCATION OF CDBG FUNDS 2009 -2010 Background On November 25, 2008, City Council approved funding allocations for the 2009 -2010 CDBG Program and applications for the program year were submitted to the Riverside County Economic Development Agency (EDA) for consideration. For the 2009 -2010 program year, $50,000 towards Dangerous Structure Abatement projects and $25,000 towards Nuisance Abatement was approved by Council. Discussion Based on the City's current budget, it would be in the best interest of the City to apply $50,000 to Nuisance Abatement, creating a combined total of $75,000 to fund a Code Enforcement Officer. Structure abatement projects have typically been identified as eligible for CDBG funding. However, due to the extensive structure abatement process, these projects seldom meet designated timelines and any unused funds are then in jeopardy of reverting back to the County. The County will accept requests for reallocation of funds; however, the City must submit its request promptly as the EDA is currently in the process of identifying all eligible 2009 -2010 projects. Fiscal Impact Dangerous Structure Abatement will no longer be funded from CDBG but will be categorized as unfunded and each project will be brought before Council on a case -by- case basis. There is no fiscal impact to the general fund. Agenda Item No. 7 Page 1 of 6 Reallocation of CDBG Funds 2009 -2010 February 24, 2009 Page 2 Recommendation 1. Approve the reallocation of $50,000 from Dangerous Structure Abatement to Code Enforcement — Nuisance Abatement. 2. Approve submittal of the City's reallocation request to the County of Riverside. Prepared by: Claudia Davis l& Parks and Recrea ' n Analyst Approved by: Ray Gonzales Director of Parks and Recreation Approved by: Robert A. Brady City Manager Imo' Attachment Agenda Item No. 7 Page 2 of 6 CITY OF LADE g LSINOBJE ��P DREAM EXTREME REPORT TO CITY COUNCIL TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: ROBERT A. BRADY CITY MANAGER DATE: NOVEMBER 25, 2008 SUBJECT: 2009 -2010 CDBG ALLOCATION Background Each year the City of Lake Elsinore receives an allocation of Community Development Block Grant (CDBG) funds through the Economic Development Agency of Riverside County. These allocations are based on population and are designed for assistance to low and moderate income residents. To qualify for funding, eligible projects must largely benefit low and moderate income persons, eliminate slums or blight, or meet a need having a particular urgency. A recent requirement set forth by the County is the $10,000 minimum request. This is due to the high cost to administer the contracts. Requests for less than that amount will not be approved by the County unless cumulatively the amount totals at least $10,000 from multiple jurisdictions. Discussion For the Fiscal Year 2009 -2010 funding program, the City is requesting funding in the amount of $250,000. Based on the $250,000 allocation, the County guidelines limit allocations to public service agencies to fourteen percent of the total allocation. The City's funding request for the total public service program allocation is limited to a maximum of $35,000. The remaining balance of $215,000 is to be allocated to public facility projects. The Parks and Recreation Department held a public meeting on October 20, 2008, inviting local organizations and the general public to attend an informational meeting and to obtain a CDBG application. At the filing deadline of November 14, 2008, the City had received seven (7) applications totaling $115,000. 2009 -2010 CDBG Allocation November 25, 2008 Page 2 Agencies requesting funds are: 1. The Boys and Girls Club of Southwest County — Alberhill Ranch Clubhouse ($30,000). The project is located in Lake Elsinore and the organization is requesting funds to support the Before - and - After - School program provided at the Alberhill Ranch Clubhouse for underserved youth in the City of Lake Elsinore. 2. H.O.P.E. ($30,000). The project is located in Lake Elsinore and the organization operates a food pantry that distributes a balanced menu of groceries to those in need in Lake Elsinore and the surrounding communities. 3. Alternatives to Domestic Violence (ADV) ($15,000). The project is located in Temecula and Lake Elsinore and the organization provides an outreach service program servicing victims and their children impacted by domestic violence in Lake Elsinore and all surrounding unincorporated areas. 4. Assistance League of Temecula Valley ($10,000). The project is located in Temecula and the organization's Operation School Bell provides clothing for children in the Murrieta, Lake Elsinore, Meniffee and Temecula School Districts. 5. H.O.P.E. ($10,000). This project is located in Lake Elsinore and the organization seeks funding to replace freezers used to store perishable foods that are distributed through their food pantry servicing those in need in Lake Elsinore and the surrounding communities. 6. New Vision Children's Services ($10,000). The project facility should be selected and ready for opening on July 1 The organization's goal is to support families affected by autism and will operate multiple support groups in areas throughout Southwest Riverside County including Lake Elsinore. 7. Senior Citizens Service Center of the Rancho Temecula Area, Inc. ($10,000). The project is located in Murrieta and services various communities including Lake Elsinore. The organization will provide emergency food to all who apply and meet income guidelines as well as to those who are on the streets. City Public Facility Projects are: 1. Lake Community Center ($50,000) for Phase II renovations includes kitchen renovation, replacement of exterior doors, installation of wall mats in the gymnasium, and major wall repairs. Agenda Item N®. 71 P 940 2009 -2010 CDBG Allocation November 25, 2008 Page 3 2. Machado Park Restroom ($80,000) for Phase II of the demolition and replacement of the restroom facility. 3. Code Enforcement - Dangerous Structures Abatement ($50,000) to continue program of identifying substandard properties and buildings throughout the City's redevelopment areas and works with owners to bring their properties into compliance. 4. Nuisance Abatement ($25,000) funds will supplement costs to continue program of identifying Code Violations throughout the City and work with owners to bring their properties into compliance. Total CDBG funding requests for Public Facility Projects and Public Service Programs is $320,000. The total funding requests exceed the City's request for funds by $70,000. Due to the limited CDBG funding and the recent minimum requirement of $10,000 per application, City staff is recommending funding allocations to the Boys and Girls Club and to HOPE. Approval of staff's recommendations will ensure the Boys and Girls Club and HOPE continue to provide the same level of service while faced with an increase demand for services. All seven requests for funding are very worthy and would provide valuable service to our community. Although staff would like to recommend funding all requests, it is prudent to only fund two Public Service Program requests at this time. CDBG Funding Allocation Requests and Recommendations PUBLIC FACILITY PROJECTS REQUESTED RECOMMENDATION 2008 -2009 City of Lake Elsinore Lake Community Center Phase II $ 50,000 $ 50,000 $ 57,500 Subtotal $130,000 $130,000 $137,500 PUBLIC SERVICE PROGRAMS The Boys and Girls Club $ 30,000 $ 15,000 $ 13,605 H.O.P.E. Food Program $ 30,000 $ 20,000 $ 18,606 Alternatives to Domestic Violence $ 15,000 $ 0 $ 0 Assistance League of Temecula $ 10,000 $ 0 $ 0 H.O.P.E. Freezer Replacement $ 10,000 $ 10,000" $ 0 New Vision Children's Services $ 10,000 $ 0 $ 0 Sr. Center of Temecula Rancho $ 10.000 $ 0 $ 0 Subtotal $115,000 $ 45,000 $ 32,211 • if, 2009 -2010 CDBG Allocation November 25, 2008 Page 4 CODE ENFORCEMENT City of Lake Elsinore Dangerous Structure Abatement $ 50,000 $ 50,000 $ 40,183 Nuisance Abatement $ 25,000 $ 25,000 $ 20,182 Subtotal $ 75,000 $ 75,000 $ 60,365 TOTAL $320,000 $250,000 $230,076 Allocation for Hope freezer replacement will be taken from Public Facility Projects. Fiscal Impact The City of Lake Elsinore's CDBG allocation is anticipated at $250,000 for the 2009- 2010 Year. These funds will be available July 1, 2009. There is no fiscal impact to the general fund resulting from the allocation of CDBG funds. Recommendations 1. Adopt the Community Development Block Grant (CDBG) Program for Fiscal Year 2009 -2010. 2. Approve submittal of the City's program to the County of Riverside. Prepared by: Claudia Davis Parks and Recreation nalyst Approved by: Ray Gonzales Director of Parks and Recreation Approved by: Robert A. Brady City Manager ' �s